AIG continues to struggle to find ways to be even a decent shadow of its former industry-dominating self. The insurance group is set to announce its sixth quarterly loss Thursday though experts expect this to be a lesser loss compared to previous quarters.
A report by Bloomberg says that AIG will not be asking for any more taxpayer money from the government. The company has already taken $180 billion in loans from the government’s bailout fund.
AIG created quite the scandal earlier in the year using bailout funds to hand our millions in bonuses for their ailing financial division.
Sources say that AIG’s first quarter report will indicate a $5 billion loss which will indeed be a smaller amount compared to a $61.7 billion the insurance group racked up last quarter. AIG has lost around $105 billion since October 2007.
Investment advising group StanCorp’s Julie Grandstaff said, “That would be encouraging. AIG has been successful in winding down a significant portion of its derivatives business, so losses should be declining. And credit markets are improving, so the derivatives that AIG insures should be gaining value as well.”
